BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
XXXXX
v. :
AUDITING
DIVISION OF THE :
STATE TAX
COMMISSION OF UTAH, ) INFORMAL DECISION
Respondent. : Appeal No. 87-1172
_____________________________________
STATEMENT OF CASE
This
is an appeal to the Utah State Tax Commission from an assessment by the
Auditing Division of the Utah State Tax Commission (Respondent) of tax, penalty
and interest on the XXXXX purchase of a XXXXX.
Petitioner did not request an oral hearing. Therefore, the Tax Commission decides this matter based on the
materials in the file. Petitioner
requests a waiver of the tax, penalty and interest on the basis that the
subject vehicle was licensed in accordance with XXXXX law. Petitioner stated that XXXXX, was a Utah
Corporation which was licensed to do business in XXXXX until XXXXX, at which
time it filed Articles of Incorporation in XXXXX and transferred all assets to
the XXXXX. Petitioner stated that XXXXX
is the President of the Corporation and that he owns real property in XXXXX,
Utah. XXXXX drove the subject vehicle
to Utah on XXXXX to help clean the rental property and to make sales calls to
customers in Utah. Respondent stated
that Petitioner was a domestic corporation of the state of Utah at the time of
purchase of the subject vehicle.
Respondent stated that photographs were taken of the subject vehicle in
XXXXX, Utah on XXXXX, at the residence of the President of Petitioner's
corporation and asserted that the subject vehicle was used almost exclusively
in Utah for the first four months after purchase. Respondent assessed a use tax, a 10% negligence penalty, and
interest on the purchase of the subject vehicle. The Tax Commission finds that Petitioner was a resident of Utah
for motor vehicle registration purposes pursuant to R873-O1V at the time of
purchase of the subject vehicle and was required to pay use tax to the state of
Utah. Petitioner had the burden of
proof to establish that Respondent assessed the tax, penalty and interest in
error. Petitioner failed to meet this
burden of proof.
DECISION AND ORDER
Based
on the foregoing, it is the Decision and Order of the Utah State Tax Commission
that Petitioner's request for waiver of tax, penalty and interest on the
purchase of the XXXXX be denied. The
assessment of tax, penalty and interest by the Auditing Division of the Utah
State Tax Commission is hereby affirmed.
DATED
this 8 day of February, 1989.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
R. H. Hansen Roger
O. Tew
Chairman Commissioner
Joe B.
Pacheco G.
Blaine Davis
Commissioner Commissioner